CBD is Expensive. With demand rising and many suppliers failing to stay afloat, the price of CBD has risen to a premium. High quality oil and distillate comes at such a premium price mainly due to the extensively complicated methods required to refine hemp plants. In this article I’ll run through why the price of CBD is so high and why we at Cannavessel Labs think the price of CBD isn’t going down as low as some market analysts believe.
Why is CBD So Expensive?
Why is CBD so expensive? CBD is expensive to make.
Your CBD products start at the hemp plant. These plants aren’t easy to grow and require very meticulous farming techniques. Paying for land, machinery and workers adds up. From there the cannabinoids are extracted from the hemp plant in a CBD extraction lab like our very own: Cannavessel Labs. These labs require large scale extraction equipment and materials that can cost millions; not to mention the skilled workers to run said equipment.
Once the oil is made, the brands you buy from take a cut. These huge brands buy CBD distillate and fill their products with it, then mark up the price. That is why buying direct from a lab like Cannavessel will yield you the best band for your buck. We make everything in house and cut out all the brands and brokers getting you the cheapest price.
Where We Think The Market Is Headed.
Many CBD market analysts think the CBD price is going to crash and burn in 2020, but here at Cannavessel Labs we hold a different opinion. Everyday we see CBD manufactures and farmers going out of business because they can’t keep up with the overhead costs they have created. Less manufacturers and farmers means higher and more stable CBD prices. Some CBD Labs started and were simply in over their heads.